The company has said it is going to increase its Asia Pacific wealth management client base this year by ten percent. Citi has its intention to achieve more than set target of 8 percent for this year and it is welcoming client advisers and increased its digital offerings
Wealth managers from Credit Suisse, HSBC and Standard Chartered have concentrated Asia region to get advantages from nations such as China and India who are showing flowing revenues. The data from Credit Suisse global wealth report shows this surge. According to the report, the region has shown a total domestic capital increased by 3 percent in the last year. This rise in income of $114.6 million in Asia Pacific region left behind United States and Europe.
An Opportunity for Citi
Another data collected by Asian Private Banker shows that Citi holds the second position after UBS, a Swiss bank. The company holds $256 billion valued assets under management in the last year. Citi’s chief of consumer banking for Asia Pacific and EMEA, Gonzalo Luchetti stated “We are confident the investments we have made and continue to make will support double-digit client growth rates in 2019.”
The bank expects to strengthen number of client relationship managers and utilization of digital technology to propose capital advice by growing investments in the region. It also believes that China’s capital management client base will show an increase rapidly in 2019 which is 30 percent more than the previous year. Citi’s China Chief expressed that they saw this increase regardless of slowdown faced by China. Lam said “The fact there’s significant accumulation of wealth in China that is not going to change.”
Crucial Country for Business
China is one of 10 Asian economies that create $500 million in revenue every year. The bank is also expanding onshore China business in retail, commercial and commercial banking beyond wealth management. In late 2017, the government broadcasted new regulations gave authority to foreign companies to buy 51 percent of an onshore Chinese securities joint venture. This also gave them debt and equity underwriting and financial advisory services.
The bank agreed to trade its small share in its China brokerage joint venture to Orient, a Chinese partner. This trade provided an opportunity for Citi to establish predominantly-owned trading business as well as underwriting. Citi’s Chief executive in China expressed that the bank has been in search of a partner to handle its new securities business which would provide new offers like equities trading.